Improving Defense Acquisition Management and Policy Through a Life-Cycle Affordability Framework

Report Number: UNT-LM-14-005

Series: Acquisition Logistics

Category: Performance Based Logistics (PBL)

Report Series: Sponsored Report

Authors: Wesley S. Randall, David R. Nowicki

Title: Improving Defense Acquisition Management and Policy Through a Life-Cycle Affordability Framework

Published: 2014-02-01

Sponsored By: Acquisition Research Program

Status: Published--Unlimited Distribution

Research Type: Other Research Faculty

Full Text URL: http://acquisitionresearch.net/files/FY2014/UNT-LM-14-005.pdf

Keywords: performance-based logistics (PBL), life-cycle affordability framework (LCA), business theory, research methods, supply chain management

Abstract:

This research, under the direction of the principal investigators from the University of North Texas and with support from the Naval Postgraduate School, achieved its overarching goal of developing life-cycle affordability models that enhance defense acquisition management and policies. We develop models that provide acquisition decision-makers with an affordability trade-off space that considers design and life-cycle cost. Not only do these models consider life-cycle cost to provide acquisition decision-makers with an affordability trade-off space, but they also embrace both the performance and the risk that are associated with public-private partnership contract strategies. Our studies were conducted using a mixed methodological approach. We used qualitative research methods (interviews, surveys, grounded theory, and case studies) to uncover key characteristics and metrics defining affordability. In addition, we incorporated these key characteristics and metrics and developed analytical models to make informed business decisions on defense acquisition management and policy, using econometric, mathematical and statistical, and operations research model techniques.